Hong Kong Pledges Competitiveness Without Tax Race Against Singapore

Hong Kong, 23 September 2026 – Hong Kong will pursue competitiveness as a financial centre without entering a bidding contest with Singapore over tax concessions, Financial Secretary Paul Chan said, drawing attention to the different strengths of Asia’s two major wealth and capital-market hubs. His remarks come as both cities seek fund managers, global talent and technology investment amid shifting trade and regulatory conditions.

Hong Kong has proposed a broader exemption for carried interest, the share of investment profits earned by fund managers, and Chan said the government is working to implement the measures within this year. Singapore has introduced its own incentives to preserve its appeal. For asset managers, the comparison will extend beyond a headline tax rate to the certainty of rules, depth of investors and access to transactions.